Leading the 3rd Generation Smart Lock Market with Encrypted IoT

Mar 20, 2024
7 min read

Updated: 4 days ago

*This article was originally published as a contribution to the Dong-A Business Review (DBR) in March 2021.

Article at a Glance

Singapore-based startup Igloocompany (Igloo) is shaking up the smart lock industry with its 3rd-generation encrypted IoT-enabled devices, now available in over 100 countries. These smart locks combine the Internet of Things (IoT) with advanced encryption technology, enabling secure remote access and monitoring. Users can unlock doors via smartphone from anywhere in the world and manage access to buildings or storage facilities. This key differentiation has made Igloo particularly popular among Airbnb hosts and U.S. property owners who manage multiple units remotely. With growing interest from global players like Amazon and Google, the expanding smart home market is opening up new growth avenues for Igloo.

[Update - Funding & Growth] As of 2024, Igloo has raised a total of US$32 million in funding, including a US$12 million Series B1 round in March 2022 led by Insignia Ventures Partners and Wavemaker Partners. The company reported double revenue growth in 2023, driven by accelerated adoption in the U.S. and European markets.

Singapore’s Infrastructure Leads, But Its Homes Lag Behind in Smart Locks

Singapore, where the author resides, is renowned for its world-class infrastructure in finance, logistics, aviation, and port operations. Yet, surprisingly, most homes in the city still rely on traditional mechanical locks rather than smart locks. I recall being locked out of my home more than once—either after forgetting my keys or losing them while traveling abroad. In contrast, nearly all apartment buildings in South Korea have long adopted digital door locks as a standard feature. For over a decade, residents there have enjoyed the convenience of keyless entry by simply remembering a passcode. It would not be an exaggeration to call South Korea the birthplace of digital door locks: while their adoption rate remains below 5% globally, it exceeds 60% in Korea.

Digital door locks became widespread in Korea in the early 2000s, particularly in large apartment complexes. One key reason was the standardization of door and lock installations, which allowed manufacturers to produce and install digital locks at scale. In many other countries, however, variations in door structure and lock placement have made mass production, installation, and maintenance significantly more difficult—slowing adoption.

Today, though, the digital door lock market is expanding rapidly worldwide. The global market is estimated at approximately USD 30 billion, with an annual growth rate of 7 to 9 percent projected between 2020 and 2024. This acceleration is driven in part by rising consumer spending in emerging markets, as well as increased demand for security solutions in developed economies like North America and Europe—particularly in residential and commercial real estate. The growth of the sharing economy, led by platforms such as Airbnb, has further heightened interest in secure and flexible access systems. As a result, the industry is now evolving from second-generation IoT-enabled locks to third-generation smart locks enhanced by encryption technology.

Igloo’s Take on Encrypted IoT Smart Locks

The smart lock industry is one where non-global companies traditionally struggle to compete. Security-related devices tied to residential and infrastructure systems require constant R&D and must evolve with biometric and IoT trends. Yet Igloo is challenging this status quo. The startup distributes its 3rd-gen smart locks through over 120 global channel partners. While 40% of its revenue comes from Southeast Asia, the company also operates offices in the U.S. and China, selling to more than 100 countries worldwide.

Igloo’s smart locks stand out by integrating not just hardware and software but also telecommunications and encryption. Users can grant one-time or recurring access via smartphone or web dashboards, with real-time monitoring of access events—including who opened a container, data center, or telecom tower, and when. In regions with poor connectivity (such as parts of Southeast Asia, Europe, or the U.S.), Igloo has integrated proprietary OTP (One-Time Password) tokens, similar to those used in banking, to bypass communication disruptions.

Before installing Igloo’s locks, Singapore’s largest telecom provider Singtel had to issue multiple physical keys to over 15 service providers accessing its towers. This system was inefficient, time-consuming, and difficult to track. With the new smart locks, Singtel now monitors access logs in real time—improving operational efficiency and security. This reference customer enabled Igloo to expand to other telecom sites in Thailand, the Philippines, Indonesia, and the U.S. Today, Igloo smart locks are even used at Amazon’s U.S. logistics centers and delivery trucks.

Addressing Customer Pain Points

How did a startup from Singapore go beyond Southeast Asia to break into the U.S. market? The answer lies in solving real problems for users—especially Airbnb hosts and members of the National Association of REALTORS®.

Igloo is currently a global partner of Airbnb, collaborating with housing and space-sharing businesses across the U.S. and Asia. In its early days, the company managed five Airbnb listings, hosting between 300 to 400 guests. This hands-on experience allowed the founders to directly identify pain points and improve both the product and service accordingly. Notably, approximately 40% of Airbnb hosts manage more than one property, which creates significant logistical challenges when it comes to overseeing multiple guests arriving and departing at various times across different locations.

A common struggle among Airbnb hosts is the physical handover of keys. Flight delays or traffic disruptions often make it difficult for hosts to meet guests in person. In many cases, check-in or check-out times fall outside standard hours, and there may be no suitable location to exchange keys—particularly during late-night arrivals or early-morning departures. Moreover, hosts often cannot confirm whether guests have checked out, complicating the scheduling of cleaning services.

The founders of Igloo spent a great deal of time addressing these real-world inconveniences. The result is a product suite designed to resolve them. With Igloo’s smart lock, a host can define a usage period, during which a temporary access code is sent to the guest via SMS or email. This code expires automatically when the designated time ends.In addition to smart locks, Igloo also offers a smart key box, which can be hung outside the door to securely store physical keys or access cards. Much like the smart lock, the host sends the guest a time-limited passcode, which the guest then uses—via a mobile app and Bluetooth connection—to open the box. After retrieving the key and completing their stay, guests simply close the lid to return the key.

The utility of Igloo’s products has also gained traction with the National Association of REALTORS® (NAR), which counts over 1.3 million real estate agents across the U.S. Unlike in Korea, where properties are typically concentrated, real estate listings in the U.S. are geographically spread out, making it impractical for agents to accompany every showing. Temporary passcodes generated by smart locks provide a convenient alternative. The COVID-19 pandemic further amplified demand, as prospective buyers and renters increasingly preferred contactless property viewings. Over the past year, demand for Igloo’s smart locks has surged significantly across the U.S. real estate market.

[Update - U.S. Market Entry 2024] In March 2024, Igloo formally launched in the U.S. with a new product lineup including a cellular and NB-IoT-enabled smart deadbolt aimed at multifamily housing and rental property managers. In March 2025, it unveiled a smart access solution for multifamily rental properties, offering centralized access control for shared spaces alongside individual unit locks—targeting efficiency gains for property managers and improved security for tenants.

Shaping the Future of Secure Door Locks: Igloo’s Next Chapter

The key difference between Igloo’s smart locks and the digital locks commonly found in South Korea lies in security technology. Igloo’s smart locks are equipped with a proprietary encryption chipset module based on its own cryptographic technology. This results in a higher level of security compared to Wi-Fi–based systems, which are more vulnerable to hacking. Even in regions where wireless connectivity is unstable or unavailable—such as parts of Southeast Asia, Europe, Australia, and the United States—the locks remain operable via Bluetooth and a smart access authorization system. All Igloo smart locks are IMDA-certified in Singapore and designed to operate without reliance on Wi-Fi, ensuring functionality even in areas with limited or unreliable connectivity.

Another distinguishing feature of Igloo’s product is its real-time Bluetooth-based access management system. It functions similarly to the one-time password (OTP) systems used in banking. Administrators can issue OTPs to specific individuals for a designated time period. This makes it possible to grant temporary access to regular visitors such as domestic helpers or trusted acquaintances. In hotel applications, installing Igloo’s smart locks eliminates the need for guests to check in and out at the front desk. Instead, guests simply receive their room OTP on their smartphone, which improves convenience and privacy, while hotels can reduce staffing costs—creating a win-win situation for both sides.

Building on these strengths, Igloo has grown into a company with around 120 employees since its founding in July 2015. The company has sold a cumulative total of 130,000 units to date, with a sales target of 100,000 units for 2021. Of course, Igloo is not without competition. One notable rival is August Home, a leading U.S.-based smart lock company that was acquired in 2017 by global access control giant Assa Abloy.

The growing smart home market presents a clear opportunity for Igloo. A strong signal of this potential is the acquisition of Ring, a video doorbell manufacturer and both a partner and client of Igloo, by Amazon in 2018 for USD 1 billion. This underscores the growing interest of global tech giants like Amazon and Google in securing and managing home entry points. These companies are expanding their in-home ecosystems through platforms like Alexa and Google Home, making smart locks—integral to front-door security—a natural area of strategic focus. For example, Ring’s video doorbell, now under Amazon, captures the image of anyone pressing the doorbell and sends it directly to the homeowner’s smartphone for identification. When integrated with Igloo’s smart lock, this setup enables users to verify the identity of a delivery person via camera and remotely unlock the door—allowing packages to be securely placed inside the home.

[Update] In 2024, co-founder and CEO Anthony Chow was named one of Singapore’s EY Entrepreneur of the Year awardees, recognising his leadership in scaling a Singapore-born hardware and IoT company into a global player in the access control industry. With continued product innovation, strategic global partnerships, and an expanding presence in high-growth smart home markets, Igloo is well-positioned to strengthen its leadership in encrypted IoT smart locks and define the next chapter of access control technology worldwide.